ECOWAS Reaffirms Commitment to Launch Eco Single Currency in 2027

West Africa WeeklyJuly 21, 20262 Mins read32

West African leaders have reaffirmed their commitment to launching the long-awaited Eco single currency in 2027, following the 69th Ordinary Session of the ECOWAS Authority of Heads of State and Government held on Sunday in Lungi, Sierra Leone.

In the final communiqué issued after the summit, the Authority declared its “firm commitment to the launch of the ECO in 2027 as a key instrument for deepening regional economic integration and promoting sustainable, inclusive, and resilient growth within the Community”.

Under the proposed arrangement, the common currency will initially be adopted by member states that meet agreed macroeconomic convergence criteria, while countries not yet ready will receive support to join at a later stage. The leaders also welcomed the registration of the name “ECO” with the African Intellectual Property Organisation and directed the ECOWAS Commission to pursue trademark protection with other regional and international bodies.

The summit, chaired by Sierra Leonean President Julius Maada Bio, brought together heads of state and senior officials from ECOWAS member countries. Senegal’s President Bassirou Diomaye Faye was elected as the new Chairman of the ECOWAS Authority, while General Birame Diop of Senegal was appointed President of the ECOWAS Commission for the 2026-2030 term.

Beyond the currency programme, the leaders addressed the region’s worsening security crisis, endorsing a revised roadmap to activate the ECOWAS Counterterrorism Brigade, with full operational capacity expected by July 2027. The communiqué specifically condemned “the increasing spate of banditry, kidnappings and abductions of school children, particularly in Northern Nigeria” and commended President Bola Tinubu for measures taken to secure the release of victims.

The Authority also strongly condemned xenophobic attacks against West Africans in South Africa and backed Ghana’s proposal to bring the matter before the African Union Assembly. On relations with the Alliance of Sahel States, comprising Burkina Faso, Mali and Niger which have withdrawn from ECOWAS, leaders extended the mandate of Chief Negotiator Dr Lansana Kouyaté until December 2026 and reaffirmed that negotiations would continue only as a unified bloc.

Leaders projected a positive regional economic outlook for 2026, supported by declining inflation, lower public debt-to-GDP ratios, and a widening current account surplus, though fiscal deficits remain a concern. They also expressed concern over worsening food insecurity and rising fertiliser prices, calling for accelerated implementation of the ECOWAS Rice Agenda and Regional Rice Roadmap to reduce dependence on food imports.

However, questions remain about the feasibility of the 2027 timeline, with some experts pointing to persistent macroeconomic divergences between member states, particularly between anglophone and francophone economies. Nigeria and Ghana, key candidates for the first wave, continue to face high inflation, currency pressure, and fiscal fragilities. The project has faced multiple postponements since the original 2020 target was abandoned following the economic shock of the COVID-19 pandemic.

Despite these challenges, regional authorities appear to favour pragmatism, with policymakers signalling that the first phase of the Eco could proceed without the eight CFA-franc countries of the West African Economic and Monetary Union (UEMOA), potentially creating a multi-speed monetary union. The currency is expected to facilitate trade through a unified payment system, reduce currency conversion costs, and strengthen intra-regional commerce.